K26 Million Stolen from Works Department - Gone in a Sink Hole
South Pacific Post
A STAGGERING K26 million “disappeared without a trace” from the Works Department - part of the money paid out for improvements and structures in the Highlands Highway Rehabilitation Program in Chimbu.
The K26 million was part of the K54 million reportedly paid to the landowners for improvements and structures along the 20m corridors on the Highlands Highway between 2005 and 2006.
“It is as if the money has sunk into a big hole. We can’t tell. There is not a single trace of it, we can’t account for this money,” Works Secretary Joel Luma said yesterday.
Mr Luma said police could not carry out an investigation into the massive fraud involving the first payment of K54 million because their own investigation into the whole affair was incomplete.
“We have names on the cheques but we do not have addresses and telephone numbers. How do you trace these payments? It is very hard because we can’t verify the payments,” Mr Luma said.
Mr Luma said there was an investigation by police in Kundiawa soon after the payments were made and 19 people were arrested.
He said when the verification exercise was conducted, the consultants were able to account for K28 million and the information could easily be provided to the police to conduct an investigation.
Of the next lots of the so-called missed out payment of K68 million, Secretary Luma said he had to put a stop to the payment because the whole exercise was contaminated with fraudulent claims.
“This time the claims were organised by the Lands Department and they brought it to us for verification and payment. I put a stop to it. We should be the one doing the work,” he said.
The Highlands Highway landowners Association has contended that the whole payment of K54 million did not go to the people in the project area in Chimbu.
Chairman Thomas Barry said between 60 to 70 per cent of the money was fraudulently paid to officers of the Works Department who conspired with others to pick up the payments.
He said if it was verified that it will cost K8 million to pay those that missed out, one must assume that the real landowners could not pick up any more than the same amount from the first payment.
A STAGGERING K26 million “disappeared without a trace” from the Works Department - part of the money paid out for improvements and structures in the Highlands Highway Rehabilitation Program in Chimbu.
The K26 million was part of the K54 million reportedly paid to the landowners for improvements and structures along the 20m corridors on the Highlands Highway between 2005 and 2006.
“It is as if the money has sunk into a big hole. We can’t tell. There is not a single trace of it, we can’t account for this money,” Works Secretary Joel Luma said yesterday.
Mr Luma said police could not carry out an investigation into the massive fraud involving the first payment of K54 million because their own investigation into the whole affair was incomplete.
“We have names on the cheques but we do not have addresses and telephone numbers. How do you trace these payments? It is very hard because we can’t verify the payments,” Mr Luma said.
Mr Luma said there was an investigation by police in Kundiawa soon after the payments were made and 19 people were arrested.
He said when the verification exercise was conducted, the consultants were able to account for K28 million and the information could easily be provided to the police to conduct an investigation.
Of the next lots of the so-called missed out payment of K68 million, Secretary Luma said he had to put a stop to the payment because the whole exercise was contaminated with fraudulent claims.
“This time the claims were organised by the Lands Department and they brought it to us for verification and payment. I put a stop to it. We should be the one doing the work,” he said.
The Highlands Highway landowners Association has contended that the whole payment of K54 million did not go to the people in the project area in Chimbu.
Chairman Thomas Barry said between 60 to 70 per cent of the money was fraudulently paid to officers of the Works Department who conspired with others to pick up the payments.
He said if it was verified that it will cost K8 million to pay those that missed out, one must assume that the real landowners could not pick up any more than the same amount from the first payment.
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